Huntsman has reduced its total debt from $5.4B in Q4 2024 to $4.5B in Q4 2025, a 16.7% reduction. This has improved the company's debt-to-equity (D/E) ratio from 1.0 to 0.8 over the same period, indicating a strengthening balance sheet. Huntsman's free cash flow (FCF) has grown from $1.7B in Q4 2024 to $2.8B in Q4 2025, a 65.9% increase. This corresponds to a rising FCF yield, from 5.1% to 8.4% based on the current stock price of $79.58. The combination of debt reduction and rising FCF generation suggests Huntsman is improving its financial flexibility and capital allocation efficiency. This should provide more stability and potential for future investment or shareholder returns. While Huntsman's margins have declined in recent quarters, the data indicates the company is taking prudent steps to strengthen its balance sheet and cash flow profile. This lays the groundwork for potential margin recovery and shareholder value creation over the medium to long term. I rate Huntsman a 6/10 conviction buy.

Research these companies